YRC Worldwide Inc (YRCW)

[jaybird249]

$.35 - $.50 Fair Value for YRCW
I will post more extensive analysis later.
This assumes the next round of conversion takes place and 3.5 Billion shares OS.

This is based on following pro forma data from Q2 report:

Net current assets: $800 million
Debt: $1.6 Billion.
Net debt: $800 million.

Q2 EBITDA: $65 million.
Annualized EBITDA $250 million.

Since YRCW said business will improve in second half of yeat, $250 MM EBITDA is conservative.

Share Valuation at 8 x EBITDA:
$2 billion - $800 million debt = $1.2 billion or $.35

Share Valuation at 10 x EBITDA:
$2.5 billion - $800 million debt = $1.7 billion or $.50